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Automotive head-up displays are gaining traction owing to concerns about passenger safety; global automotive HUD market to expand at over 23% CAGR through 2025.

Future Market Insights (FMI) offers key insights on the global automotive head-up display (HUD) market in its research report, “Automotive Head-up Display (HUD) Market: Global Industry Analysis and Opportunity Assessment 2015-2025.” According to the report, the global automotive HUD market is expected to amplify at a CAGR of over 23% between 2015 and 2025. 

FMI has segmented the automotive HUD market on the basis of product type, passenger car type, and sales channel distribution. 

Combiner Segment Set to Surpass Windshield Segment 

On the basis of product type, the global automotive HUD market is segmented into windshield and combiner. The combiner segment accounted for nearly 33% revenue share in 2014; FMI expects it to reach 53% by 2025, witnessing an increase of 1,940 Basis Point Share (BPS) between 2015 and 2025. Between 2015 and 2025, the combiner segment of the automotive HUD market is forecasted to amplify at a CAGR of nearly 29%. 

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OEM Preferred Sales Distribution Channel 

OEMs and aftermarket are the two broad segments of the automotive head-up display (HUD) market on the basis of sales distribution channel. OEMs are the dominant sales distribution channel, accounting for nearly 68% market revenue share in 2014. FMI expects OEMs to remain the dominant sales distribution channel throughout the forecast period as well. 

Strong Demand from Sports Cars and SUVs 

Sports car, sports utility vehicle (SUV), luxury, premium, and mid-size are the key cars on the basis of passenger car type. Luxury cars represented nearly 18% of the global market in 2014; however, owing to price constraints, the demand is anticipated to slow down during the forecast period 2015-2025. In contrast, the demand for head-up displays is expected to witness a surge in the SUV and sports car segment during the forecast period. 

North America and Europe Collectively Account for Nearly 76% of the Market Value Share 

North America and Europe are the most lucrative markets for automotive head-up displays, collectively accounting for nearly 76% of the market value share in 2014. 

In the European automotive head-up display market, Western Europe holds the majority share, with Eastern Europe accounting for nearly 10% share. The automotive HUD market in emerging regions, including Asia Pacific Excluding Japan (APEJ), Latin America, and Middle East is expected to amplify at a high growth rate, owing to adoption in the luxury car segment. 

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Key Players Focus on Mergers and Acquisitions to Consolidate their Position 

Some key players identified in the global automotive HUD market are Johnson Controls, Delphi Automotive LLP, Nippon Seiki Co. Ltd., Robert Bosch GmbH Yazaki Corporation, Continental AG Denso Corporation, MicroVision, Inc., Visteon Corporation and Harman International Industries Inc. 

These key players are focusing on mergers and acquisitions (M&A) to consolidate their presence in the market. For example, Continental AG acquired Elektrobit Automotive Group to boost its automotive software solutions. 

The leading players in the global automotive HUD market are also investing heavily on research and development (R&D) to launch innovative products in the market. Promotional activities and use of digital media remains a key marketing strategy for these players. 

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